ADVOKS GLOBAL · KENYA
Income Tax Act
18G. Advance pricing agreement
Edition: 2026-07-01 · In force
18G. Advance pricing agreement
(1)The Commissioner may enter into an advance pricing agreement with a person who undertakes a transaction contemplated under section 18(3) or section 18A.(2)The amount which would have been expected to accrue if that business had been conducted by an independent person dealing at arm’s length contemplated under section 18(3) or section 18A, shall be determined in accordance with the advance pricing agreement entered into under subsection (1).(3)The advance pricing agreement entered into under subsection (1) shall be valid for a period not exceeding five consecutive years.(4)Where the Commissioner determines that the person referred to in subsection (1) entered into the advance pricing agreement through misrepresentation of facts, the agreement shall be void and the Commissioner shall issue a written notice to the person.(5)The Cabinet Secretary may make regulations for the better implementation of this section, within six months from the commencement of this provision.